Consumers in the home appliance industry have been hampered by sluggish growth

The rapid expansion brought about a sluggish consumption. In 2013, Xiao Yanhong and her husband and I worked in the cabinet business near Beiyuan Street for 8 years. In 2008 and 2009, her business in the store was incredibly good: “Sometimes I see guests who come in, they don’t take the initiative to ask them. Because I’m afraid that if the list picks up too much, the factory will not be able to catch up.” said Xiao Dajie. After a good business, the couple opened two more branches.

However, starting from the end of 2011, her stores began to suffer a decline in performance. By March of this year, the rent of one of the stores will expire again. Xiao Dajie is hesitating to continue or close the store. "The business is poor, and it is difficult to make ends meet." Said Xiao Sister, the cost of the branch's more than 100,000 yuan has been invested, and it has only returned more than 60,000 yuan.

Like the feeling of Xiao Sister, the home stores near Beiyuan Street are now deserted. Almost every store has idle paving. Many brands of businesses to promote sales activities is also difficult to suppress the deserted stores, the reporter found in a home city children's furniture stores, many sales staff gathered in the shop chat, play mobile phones, occasionally one or two customers come to careless. A staff at a home store told the reporter: “The sales activities in the past two years have been more frequent than ever before. Some brand discounts on New Year’s Day have even reached 40%, but promotions have not attracted too many customers.”

It is understood that Jinan in 2009 with the pull effect of the National Games set off a wave of home store sales. Eurasia Home North Garden Branch, Daming Home Baihe Branch, Ginza Home Center, and Red Star Meikailong World Expo Home Plaza have settled in Beiyuan Street, as well as Dongfang Home Second Store and Hongxin, Hongteng, etc., adding a total of more than 600,000 square meters. At present, there are more than 40 various home markets around Beiyuan Street with a building area of ​​more than 1.5 million square meters. “The Jinan home market has a situation of “big horse-drawn cars”.” According to relevant members of the Shandong Furniture Association, “For example, East Asia’s home business area is about 100,000 square meters, and its annual turnover is less than 1 billion yuan. According to 10,000 square meters The annual sales of 100 million yuan in the industry standards to calculate, the area is obviously surplus."

A few reporters interviewed in the market have found that most businesses believe that the competition has intensified and e-commerce is booming. These are reasons that the home furnishing market has to face.

“There are now thousands of large and small floor companies on the Jinan market, and the only market share is constantly being seized. Price reduction and profit sharing have become the main method for all businesses to compete for the market. However, at the same time of sacrificing benefits, the quality of many small and medium-sized brands' The discount 'has caused many big brands to be involved.' Mr. Wang, who runs a brand of flooring company in North Park Avenue, said, 'For furniture, cabinets, sanitary ware and other technical, design, labor and other factors require a higher category, The entry threshold for the flooring industry is too low. A small amount of money can be used to hire a small factory to engage in OEM production. This disorderly and vicious competition eventually leads to middle-high and low-grade brands intermingling, resulting in a series of problems such as poor quality and after-sales failure. ."

At the same time, online sales have also caused a certain impact on the traditional home building materials market. The reporter saw Li Meng, who was selecting household items, in a store. He did not forget to take photos with his mobile phone while watching. He told reporters that he did not hurry to buy something he was looking for, but he went back online and searched and compared prices, and where to buy it. Sales staff on the side are also somewhat helpless: "Network operators can save a lot of intermediate fees, and their products sold in online stores are generally 20% to 30% cheaper than physical stores, which has a great impact on physical store operations."

Change "Seed" to "Motion"

“The downturn in the market has made the operators of the entire industry tremble with trepidation, but the crisis is not only blindly pessimistic. It allows us to see our own deficiencies.” Guo Enzheng, general manager of the Jinan Store, told reporters that “more attention has been paid before 'Seeds' should now be more dynamic. This year we will increase the marketing of residential communities and bring quality services to the people."

“Jinan’s home furnishing market is fiercely competitive, and the homogeneity of the stores is more serious. Community marketing is another battleground for each store and brand competition in the future.” Qin Xiuju, general manager of Daming Home, said, “The traditional business model can no longer meet the needs of the brand. , so it's very crucial how to be unique in marketing and market segmentation."

In 2012, the home market affiliate marketing was very popular. Red Star Meikailong Jinan Mall General Manager Xu Zhimin affirmed it: “Last year, there were many affiliate marketing campaigns. For example, if a previous company did an event, it would cost 50,000 yuan. However, affiliate marketing may cost as little as 10,000 yuan. The value of affiliate marketing is to integrate individual effective resources and let 1 plus 1 play a role greater than 2.” Xu Zhimin said that affiliate marketing will still be an industry trend, but the nature and form of the alliance will change. "Design" is an indispensable factor. "Now many businesses just sit in the house and do not go out and study what the consumer needs. In the future, while forming alliances, we must also include 'design'. , Design products according to the needs of consumers and customize personalized services."